Currently in the process of finalising its acquisition of hard-disk manufacturer Maxtor, storage giant Quantum has dipped into its pockets yet again - this time to buy UK-based tape drive company M4 Data.
M4 Data manufactures tape automation products (libraries) designed to increase cartridge capacity per square metre. The 130-employee strong M4 Data will become part of Quantum's Enterprise Solutions Group headed by Kevin Daly, its president.
The technology-based acquisition will enable Quantum to provide additional features to its enterprise storage products, claimed Quantum/ATL regional marketing manager Simon Harvey.
"There will be units available in March this year. However, mass shipment will start from the following month - April onwards," said Harvey. Product specifications are unavailable at this time, he added.
Quantum will pay around $56 million for all outstanding stock of M4 Data, including a one-time cash payment of $13.4 million. The purchase agreement also depends on the future performance of M4 Data under Quantum's ownership.
"The current plan is to incorporate all M4 Data employees into Quantum with no significant changes in staffing levels. No jobs will be impacted at Quantum," Harvey assured.
The acquisition comes after Quantum announced late last year it was stepping up its direct sales force in an effort to support its customers on a closer level. Quantum now boasts an enterprise solution that includes not only tape libraries but networking gear, consulting services and customer support.
The acquisition is expected to be finalised by March 31.